The U.S. Federal Maritime Commission has issued a proposed interpretive rule under the Shipping Act it will use to assess what is fair and reasonable detention and demurrage practices.
Demurrage is a charge levied by the shipping line to the importer for cargo containers exceeding allotted free time at a port or terminal. Detention occurs when carrier’s container is held outside of the port, terminal beyond the allotted free time.
The FCC proposed interpretive rule (Federal Register notice of proposed interpretive rule) incorporates recommendations from the December 2018 Fact Finding 28 Final Report. These include, empty container return, notice of availability, and government inspections; accessible and user-friendly demurrage and detention policies; and transparent, consistent terminology.
Comments on this proposal are due by Oct. 17.
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- Posted by Joe DeSilvetri
- On October 11, 2019
- 0 Comments